UK Employers Slow Hiring, Pay Growth Cools, Survey Shows
Britain's jobs market cooled in February as the pace of hiring slowed and starting salaries rose by the least in four years, according to a survey on Monday that underscores firms' concerns about high employment costs and a soft economy. The number of available candidates for roles rose sharply, similar to in 2024, while the number of vacancies fell for the 16th month in a row. Overall pay settlements, which the Bank of England views as having a less direct influence on future inflation, fell to 3.5% from 4%.
- The slowdown in hiring and pay growth may signal that Britain's labour market is finally starting to show signs of exhaustion, after years of rapid expansion that fueled much of the country's economic growth.
- How will the Bank of England's decision on interest rates next week impact the already cooling jobs market, and what implications might this have for the overall economy?